As we step into the final months of 2024, consumer trends are taking a spooky twist—Halloween spending is set to see a slight decline after years of steady growth, and short-form video platforms like TikTok are fueling impulse buying at unprecedented rates.
In this edition of our newsletter, we’ll dive into the National Retail Federation’s predictions for Halloween spending, explore the rise of early holiday shopping, and see how platforms like TikTok are shaping consumer behavior with lightning-fast purchase decisions.
Whether you’re tracking Halloween trends or the latest in social commerce, there’s plenty to uncover this week!
Today’s Rundown
- Tempur Takeover: Tempur Sealy agrees to divest 175 stores as FTC case looms.
- Trakwell Feature of the week: Learn how to increase average ticket with be-backs.
- OUT NOW: Sign up to receive the Q2 2024 Home Furnishing Benchmark Report.
Market Watch
Furniture Industry
Mattress Industry
Trakwell Feature of the Week
This is where each week we highlight a feature within Trakwell. This week’s feature is: Increase Average Ticket with Be-backs.
Be-Backs
In the competitive market of high-value items like furniture and mattress, the art of follow-up is a critical tool for boosting sales. By engaging customers who initially showed interest but didn’t make a purchase on their first visit, stores can significantly increase their average ticket size.
On average, average ticket increases by over 50% when customers return to your store to make a purchase after the initial visit.
Click HERE to read our full use-case on how to increase your average ticket with be-backs.
Report: Halloween 2024 Predictions
After years of consistent growth, Halloween spending is expected to dip slightly in 2024. According to the National Retail Federation (NRF), consumers are projected to spend $11.6 billion on the holiday this year, a decrease from last year’s record $12.2 billion. While the decline may seem modest, it marks a shift from the upward trend of recent years. Shoppers are planning to spend an average of $103.63, slightly below last year’s high of $108.24.
One interesting trend is the rise in early Halloween shopping. Nearly half of consumers (47%) had begun their shopping before October, up from 37% just five years ago. Younger shoppers, particularly those aged 25-34, are driving this shift, with over half starting their shopping early, citing their love of the holiday as a key factor. Many are also eager to avoid the stress of last-minute shopping, according to a survey conducted by Prosper Insights and Analytics.
Spirit Halloween, the nation’s largest Halloween retailer, announced the opening of 1,525 locations this year, a record-breaking number. The retailer also plans to hire 50,000 seasonal workers to meet the demand. Meanwhile, online shopping remains popular, with Amazon seeing a 395% spike in Halloween costume searches as early as August.
Despite the slight drop in total spending, consumers are still expected to splurge on their favorite Halloween essentials. Shoppers plan to spend $3.8 billion each on costumes and decorations, $3.5 billion on candy, and $500 million on greeting cards, with discount stores and specialty shops being top destinations for Halloween purchases.
Social Impulse Buys
A new analysis from Adobe Express reveals the significant impact short-form video platforms, like TikTok and Instagram, have on consumer behavior. According to the study, three in eight U.S. and U.K. consumers have made purchases after watching a short video, with 20% of these buys happening within an hour. TikTok is the primary platform driving impulse purchases, with 51% of respondents citing it as their top video influencer. In fact, nearly one in four TikTok users made a purchase within just three minutes of watching a video.
The influence of short-form video content varies by income and region. Adobe found that 84% of respondents said these platforms influence at least one purchase decision weekly, with those earning under $30,000 annually being the most affected. U.S. respondents reported spending an average of $34 per impulse buy, with clothing, skincare, and makeup being the top categories. While TikTok reigns as the preferred platform for Gen Z, baby boomers still lean toward YouTube, showing a generational divide in video consumption habits.
Gender differences were also notable, with men being 144% more likely to favor YouTube, while women are 54% more likely to prefer TikTok. Popular content types across platforms included comedy, entertainment, and DIY videos, underscoring the broad appeal of short-form video as a driver of consumer engagement and spending.
Retail Snippets
Tempur Takeover: Tempur Sealy agrees to divest 175 stores as FTC case looms.
More to Come: Nike taps new CEO amid DTC challenges.
End of an Era: Kmart is closing their last full-size US store in October.
Random Irrelevance
Report: OpenAI says it’s fixed the issue where ChatGPT appeared to be messaging users unprompted.
America Has Spoken: This is the best grocery store in the country.
First Look: Neuralink brain implant wins an FDA nod to tackle blindness.
The post Spending Shrinks, Impulse Buys Soar appeared first on Trakwell.ai.
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